SpaceX Accelerates Solana-Powered Aviation, Nasdaq Welcomes Crypto & More

Welcome back!

This is J264G and this week I’ve got these titbits for you:

• New Era: Nasdaq rule change for digital asset-based investment interests.

• Galactic Crypto: Wingbits to launch satellite on upcoming SpaceX mission.

• Liquidity Flush: Citadel Securities is actively exploring crypto market making.

Mainstream adoption of crypto is accelerating. On the latest All-In podcast, Stripe founders Patrick and John Collison shared their views on stablecoins. Watch the full episode here.

Now, let’s jump right into this week’s newsletter!

Click on any underlined heading/hyperlink to learn more.

Spotlight

Yield Appetite

Stablecoins such as USDT and USDC have long served as a bridge between fiat currencies and cryptocurrencies, offering price stability and liquidity. 

However, as the decentralised finance (DeFi) sector matures, there's an increasing appetite for assets that not only maintain stability but also generate yield.

Consequently, yield-bearing stablecoins have increasingly come up the agenda.

The concept of yield-bearing stablecoins stems from the desire to enhance the utility of traditional stablecoins. By integrating mechanisms that allow holders to earn interest, these innovative financial instruments combine the best of both worlds: stability and profitability.

Just recently, the U.S. Securities and Exchange Commission (SEC) approved Figure Markets' YLDS stablecoin. YLDS can be transferred peer-to-peer and is backed by the same securities that prime money market funds hold. The stablecoin pays an interest rate of SOFR minus 0.50%; and interest is accrued daily and paid monthly in USD or YLDS. Also, holders can buy or sell YLDS using USD and other stablecoins 24x7 on Figure Markets, and can off-ramp to fiat during US banking hours. Interestingly, Figure Markets also suggested that YLDS might be launching on Solana soon.

Moreover, Ondo Finance's USDY has gained traction on Solana, while Tether co-founder Reeve Collins is developing a yield-bearing stablecoin to launch on Solana in the latter half of this year. Additionally, Circle's acquisition of Hashnote has significantly increased public interest in its yield-bearing stablecoin, USYC.

The rise of yield-bearing stablecoins represents a transformative shift in how digital assets can function for a wide range of investors, from crypto enthusiasts to those traditionally aligned with conventional financial products.

And as regulatory frameworks evolve and market adoption accelerates, yield-bearing stablecoins are poised to become integral components of the modern financial landscape that seamlessly blends conventional finance with decentralised technologies.

Chart Of The Week

News Bites

Galactic Crypto: Wingbits, a Solana-powered aviation data network competing with Flightradar24 and FlightAware, will launch a satellite aboard SpaceX’s Transporter 13 mission to help improve data accuracy and curb spoofing.

Going Mobile: Solana Mobile revealed the hardware specifications of its latest device, Seeker. The smartphone is designed for seamless connectivity with the Solana ecosystem, featuring innovations such as the SeedVault.

Paradigm Shift: SEC staff have agreed to dismiss their enforcement cases against both Coinbase and Robinhood, notably retracting the claim that Solana is a security—marking a significant turning point for the crypto industry.

New Era: Nasdaq has proposed rule changes via a 19b-4 filing to accommodate digital asset-based investment interests such as the Hashdex Nasdaq Crypto Index ETF, which includes both Bitcoin and Solana. 

Liquidity Flush: Ken Griffin’s market making giant Citadel Securities is shifting its stance on crypto by exploring a role as a liquidity provider, marking a clear departure from its earlier cautious approach.

Decentralised Networks: Movistar, Telefónica’s flagship mobile carrier in Mexico, has partnered with Helium to bring decentralised wireless coverage to over two million subscribers via Solana-powered, individually-owned hotspots.

Solana AI: Coinbase's AgentKit, a toolkit enabling AI agents to interact with blockchains, has expanded to Solana—further enhancing the network's growing AI scene.

Agentic Shopping: On the topic of AI, developers recently showcased an AI agent purchasing Diet Coke from Amazon using USDC on Solana, paving the way for even broader use cases.

Digital Gamblers: Kyla Scanlon published an insightful piece exploring how AI, crypto, volatility, and changing institutions are shaping young people's economic reality.

Scale Or Die: The Solana Foundation is hosting Accelerate, a two-tier conference catering to both developers and crypto enthusiasts, in New York from May 19-23. The developer-focused segment—Scale Or Die—runs from May 19-20, while the general public event—Ship Or Die—takes place from May 22-23.

Caught In 4K

Weekly Take

Keks & Giggles

And that's a wrap!

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Talk soon!

J264G

_{DISCLAIMER
None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research. Lastly, please be advised that we discuss products and services from our partners from which our team members may hold tokens/equity.}